Canada’s dollar dropped the most since November, falling for a third straight week as concern Europe’s debt crisis will worsen overshadowed government data showing inflation and factory sales rose more than forecast.
The Canadian dollar reached a five- week high against its U.S. counterpart as Chinese data showed growth for the world’s biggest consumer of metals and energy and supported the currencies of commodity-exporting nations.
Canada’s dollar registered a fourth weekly advance in the longest streak of gains since March as a plan by Europe’s leaders to address the region’s debt crisis sparked demand for growth-sensitive assets.
Canada’s currency posted its first advance in three weeks amid gains in equities and speculation the Bank of Canada will raise interest rates after a report showed job growth beat economists’ expectations fivefold.
The Australian and New Zealand dollars rose to record highs against the euro as the shared currency tumbled versus after the European Central Bank disappointed investors hoping for more steps to combat the region’s debt crisis.
Canada’s dollar traded at an almost three-month high after crude oil gained and a report showed U.S. retail sales rose, boosting optimism demand for exports to the nation’s largest trading partner will increase.